The Real Deal New York

Homeowners told to repay $6M for alleged Sandy aid fraud

4,500 households under review by FEMA for allegedly double-dipping, other violations

The Federal Emergency Management Agency is calling for the repayment of more than $5.8 million in Hurricane Sandy aid.

The agency is investigating about 4,500 households for allegedly receiving improper funds after the 2012 storm. Of the households, 850 have been asked to return $5.8 million. The remaining households are still under review.

The residents were largely considered ineligible for funding because their rental or vacation home was damaged instead of a primary residence, the Associated Press reported. In some cases, more than one member of a particular household received payments. Others received funds for property damage that proved to be covered by their insurance, reports said. [AP via Crain’s]Mark Maurer